1. What is Import Tax in Australia?

Import tax in Australia typically consists of customs duty and Goods and Services Tax (GST). The duty rate varies depending on the type of goods, while GST is generally 10% for most imported goods.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• \( \text{CIF} \) — Cost, Insurance, and Freight value in AUD
• \( \text{Duty Rate} \) — Customs duty rate as percentage
• \( \text{GST Rate} \) — Goods and Services Tax rate (10%)

Explanation: The calculation first converts percentage rates to decimals, then applies them to the CIF value to determine the total tax amount.

3. Understanding CIF Value

Details: CIF (Cost, Insurance, and Freight) represents the total value of the imported goods including the cost of the goods, insurance, and all transportation charges to bring the goods to Australia.

4. Using the Calculator

Tips: Enter the CIF value in AUD, the applicable duty rate as a percentage (e.g., 5 for 5%). The GST rate is fixed at 10% for most goods. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What goods are exempt from duty?
A: Many goods from countries with which Australia has free trade agreements may be duty-free. Some personal items may also be exempt below certain values.

Q2: Is GST always 10%?
A: Most goods and services attract 10% GST, but some items like certain medical products and basic food items may be GST-free.

Q3: How do I find the correct duty rate?
A: Duty rates depend on the tariff classification of your goods. Check the Australian Border Force website or consult a customs broker.

Q4: Are there additional charges beyond duty and GST?
A: Yes, there may be other fees like customs processing charges, import processing charges, or biosecurity fees depending on the goods.

Q5: What's the difference between CIF and FOB?
A: FOB (Free On Board) includes only the cost of goods and loading onto the vessel, while CIF includes insurance and freight to the destination port.